Setting up commission structure

Hello,
I'm using Multisite, Marketpress, and Pro Sites. I'd like to know how to set up a commission system so that everyone who has a store on my website can pay me commission for their sales. Can someone please tell me how to do this with the applications listed? I've been scouring the internet for articles on how to do this, and I just can't find anything useful. Please help!

Thank you very much for any assistance which you may provide.

From Andrew

  • Kimberly

    Hello Andrew!

    Welcome to the Community!

    With Marketpress you can tell the plugin to take a percentage of sales from each store in the network. In the Network Admin you will need to Disable global cart, and then Select PayPal chained payments. You can follow the instructions in the Meta Box and you will need to complete an application with x.com to get permission to do so.

    Then you can use the links included to guide you through the app process. or you can use this https://premium.wpmudev.org/forums/topic/xcommerce-application-process-marketpress-fundraiser

    Should fix you up :slight_smile:

    Let us know if you have any more questions!

    Best,

    Kimberly

  • ModularSpace

    Actually, I have another question. You said that global cart must be disabled in order to charge a commission, correct? Does that mean that shoppers of my site can only buy from one seller at a time? Will they still be able to add items to their cart, and then move on to the next seller?

    Is it possible for people to shop multiple stores at a time and still charge a commission of sales through the sellers?

  • ModularSpace

    I don't understand how that's a limitation of PayPal. There is a company called "iScripts". They have designed an Etsy style shopping cart system, and they allow global cart shopping. Their software can be purchased and installed on my server just like MarketPress. Just to show you what I'm talking about, here is the link to that product: http://www.iscripts.com/multicart/

    Etsy themselves allow global cart shopping, and they utilize PayPal for their payment system.

    If people on Markpress can only check out one store at a time, does that mean that they can only shop one store at a time? Is there a "main" website where people can go and shop all the inventory from all the sellers?

    Just to clarify, when I say, "shop", I mean "view". Can they at least view all the inventory from all the sellers, and then checkout by seller?

    UPDATE:
    I just went to the iScripts website which I mentioned above, and they have a feature where you can chat online with one of their agents. I asked the agent about the PayPal limitations which you described above. Here is a copy of my conversation with this agent:

    Please wait for a site operator to respond.

    You are now chatting with 'Alfred'

    Alfred: Welcome to iScripts.com. My name is Alfred Isac. How can I help you today?

    Andrew: Hello, I'm interested in your multicart software. I was wondering if customers on this platform will be able to buy from multiple sellers at a time and still be able to check out with paypal while automatically deducting a commission of sales.

    Alfred: yes

    Alfred: You can use the coupon code 'ALF10' to receive 10% discount, when purchasing the product.

    Andrew: I was told that PayPal has a limitation, and that when using a "global cart" feature, commissions will not be deducted.

    Andrew: is this true? I think they were refering to PayPal chained payments or something.

    Alfred: It is done by a feature called paypal adaptive payments

    Andrew: Okay, so this adptive payments does NOT have limitations in place wich would prevent a customer from shopping "globally"? Or in other words, prevent a person from checking out from more than one store at a time?

    Alfred: Does not have limitation that prevent from shopping globally.

    Andrew: Okay then, thank you very much for your assistance. Have a nice day : )

    Alfred: You can check the product's demo

    Alfred: at http://www.iscripts.com/multicart/demo.php

    Alfred: Welcome

    Alfred: Thank you for contacting iScripts.com. Have a Nice Day.

    Alfred: Bye

    ADDITIONAL INFORMATION:
    Here is a clip from the iScripts MultiCart description:
    "Buyers will be able to buy from one seller or multiple sellers at a time."

    I am showing you this so that maybe you can find a way for global cart to work with PayPal Adaptive payment and still charge a commission. This is very, very important. I would rather use you guys for my system because it still features more options. Only one vital option is missing, and that's global cart shopping with commission.

    I'd rather have a site that I can configure and control myself than to have a set package that can't be modified or changed. Iscripts is powerful, but it's stale. It can't be modified.

    If I can't use PayPal, is there at least a way to charge commission with global cart, and then process the payments manually? There has to be something that can be done.

  • hpidriver

    I would look a bit further...from that software's FAQ page:

    6. Do my vendors need payment processing accounts?
    No. When a buyer sends payment it goes to the administrator. So sellers do not need any payment gateways

    aka US tax nightmare for whoever is the administrator. (I believe admin would have to issue 1099-Ks for all vendors for taxes) I've seen other cart solutions that do this, seems to be a European thing.

    That cart will not work the way you intend ultimately.

  • ModularSpace

    UPDATE:
    Okay, I just went back to iScripts and spoke to an agent there. Here is the conversation below:

    Please wait for a site operator to respond.

    You are now chatting with 'Alfred'

    Alfred: Welcome Back,

    Andrew: LOL thanks. I was just looking through your FAQ, and I found this:

    Andrew: 6. Do my vendors need payment processing accounts? No. When a buyer sends payment it goes to the administrator. So sellers do not need any payment gateways.

    Alfred: yes

    Alfred: In that I can help you with the best thing available

    Andrew: I just want to be extra clear. Can customers shop globally, and have commissions automatically deducted from sales, and can those commissions AUTOMATICALLY be forwarded to the seller.

    Alfred: Go to http://www.iscripts.com/quickstartguides.php

    Alfred: download the guide for multicart

    Alfred: Ok. I will explain that to you.

    Alfred: There is an admin, many sellers and many buyers.

    Andrew: okay

    Alfred: admin can earn money from the following ways.

    Alfred: from seller registration, from listing fees of the product and from sales commission.

    Alfred: seller registration and listing fees will be directly coming to the admin

    Alfred: for sales commission. if the admin set 10% commission. the buyer paying $100 will come to the admin's paypal account and split it and sent $90 to seller account and $10 will remain in admin account.

    Andrew: And this is all automated? No manual fowrarding or processing?

    Andrew: *forwarding

    Alfred: When you enabled paypal adaptive payment, this is all automated. Else manual

    Andrew: Okay, and it's still automated with globall shopping enabled? I just want to be clear, because your FAQ threw me for a loop.

    Andrew: I'm sorry if I'm being redunant. I just want to make sure that we're absolutelly on the same page here.

    Alfred: Yes

    So, it appears that the FAQ was refering to merchant accounts. The question was, "Do my vendors need payment processing accounts?"

    ANSWER:
    No. When a buyer sends payment it goes to the administrator. So sellers do not need any payment gateways.

    It sounds to me like the customer and staff were both referring to merchant accounts and payment gateways, such as Authorize.net. You have the option for both manual payments, and automated payments through PayPal.

    So again, I ask, if iScripts and Etsy can do it, why can't MarketPress?

    Also, can customers still view products globally, even though they can't pay for products globally? If they can't even view products globally, then what's even the point of MultiSites? When MarketPress advertised that their plugin could offer an "Etsy" style storefront, I assumed that they could do just that. Etsy enables global shopping AND automated commission of sales. Therefore, MarketPress should be able to do the same, sine that's what they advertised.

  • hpidriver

    I'm a bit confused by the chat support guy, all I remember is researching multi-vendor platforms before choosing WPMU and reading about the tax implications with a setup in which the admin is the primary funds receiver.

    Alfred: for sales commission. if the admin set 10% commission. the buyer paying $100 will come to the admin's paypal account and split it and sent $90 to seller account and $10 will remain in admin account.

    Double check with a tax consultant, but because the admin is the primary receiver I believe the admin is also responsible for properly deducting the commission sent to the seller's accounts. If it was parallel payments you wouldn't have this issue I think.

  • ModularSpace

    Actually, this seems like the best way as far as taxes are concerned, because the money is sent straight to it's proper home right away. There is no "forwarding" of payments, which would certainly create a book keeper's nightmare. But if the money ends up where it's supposed to be right from the beginning, then I don't see where the problem would be. And are you telling me that MarketPress does not have a similar system, assuming that global shopping is disabled, and automatic payments are working?

  • hpidriver

    I remember reading up on iscripts when I was researching all these platforms... the chat guy is not giving your straight answers.

    I logged into their admin demo. They list two ways of taking payments, either directly as the admin (not recommended for said tax reasons) and splitting it with the seller. When you choose the latter, the only Paypal cart option is parallel payments. Take this for whatever it means, I still don't think the iscripts cart will do exactly what you are asking for.

    Marketpress uses Paypal parallel payments for Global cart. (admin cannot automatically take commsission fees, but customers can checkout from multiple sellers at once)
    Or you can use Paypal chained payments in Marketpress to take automatic commission, but like stated before this cannot be used with Global cart. Basically you have to choose one or the other.

  • ModularSpace

    I'm still very confused, but thank you for your input and assistance. I will certainly do some more researching. I do have one last question for you. If shoppers cannot pay for their purchases through the global cart system, can they at least VIEW products from all the different sellers on one page?

    What I mean is, will they have the choice to shop by seller AND shop by category? Can they do a general search for a specific item, and view multiple items from multiple sellers all at once, like they can on Etsy? If they can at least do that, I will be satisfied.

  • EspaceRA

    Hi there !

    This topic is very intersting, I try to configure this too.

    @Kimberly you say : "No they will need to check out from each store individually."

    In my settings I have global cart : YES but I can enter a fees and I have the paypal chained payments settings.

    You confirm that it's not possible to have Global Cart and Paypal chained payments ?
    (I'm a little lost, I'm sure I have read that it's possible somewhere, but my english is bad, so...)

  • hpidriver

    In my settings I have global cart : YES but I can enter a fees and I have the paypal chained payments settings.

    You confirm that it's not possible to have Global Cart and Paypal chained payments ?

    You cannot use Global Cart and chained payments together. According to wpmu people this will never change unless Paypal changes something.

    In your store settings you can enter settings for both Global Cart and Chained payments. But only one will be used at a time.

  • Kimberly

    So much to take in! You guys have been chatty!

    Chained payments + global shopping cart is not implemented and is likely not ever going to be.

    The reason for this is because the global shopping cart uses PayPal Parallel Payments, which apparently not compatible with Chained Payments.

    From Market Press plugin lead developer: https://premium.wpmudev.org/forums/topic/feature-request-marketpress-needs-this-for-global-shopping-cart#post-150570

    Etsy themselves allow global cart shopping, and they utilize PayPal for their payment system.

    I've purchased MANY a thing from Etsy, and I have NEVER been able to utilize a SINGLE payment for multiple store purchases. I always have to check out from each store individually. I think you are confusing viewing multiple shopping carts on one page with the actual "Global Cart" function which is to checkout from multiple stores at once.

    You can read more about the difference of Chained and Parallel payments here
    https://cms.paypal.com/us/cgi-bin/?cmd=_render-content&content_ID=developer/e_howto_api_APIntro

    In the case of Chained Payments the store owner becomes the Primary Receiver

  • ModularSpace

    Okay, that answers all of my questions then. I did go to Etsy just to verify that you do in fact have to pay by seller. You are right. I apologize for the confusion. I was looking at the fact that you could add multiple seller's items to your cart, however, at checkout time, you MUST pay one seller at a time.

    Thank you all very much for your assistance and information. I am certainly going to stick with MarketPress. The software is flexible and powerful, and the support ROCKS! : )

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